How Telcos can develop into Integrated Digital Service Providers

The majority of telcos have digital agendas to build multi-channel or omni-channel capabilities. However, their digital transformation is often only in the early stages.

Telcos to become Integrated Digital Service Providers

The objective for telcos should be to develop into Integrated Digital Service Providers, bringing together digital infrastructure, digital business operations & capabilities and digital offerings.

Telcos could become key players in the digital value chain by assuming new roles and offering new services such as: M2M enabler, Cloud Service provider, one stop IT service provider, smart city enabler or offer vertical solutions (digital home and home health care integrator, transport tolling partner, etc.).

Telcos need to take necessary actions

In order to do so, telcos must rethink their current customer operations and inherent BSS/ OSS landscapes. Core capabilities should be extended to campaign management, order entry, fulfillment, charging & billing, self-service user interface and other.

Operators should increase their strategic capabilities in the service market including omni-channel experience management, single order product catalog and entry function for all sales channels, integrated policy management & control. Partner enablement across the value chain must include M2M and over the top providers, Content, resellers, roaming, wholesale and other players.

The use of APIs and techniques next based action, Unified Marketing, social sentiment analysis, real time charging, can help.

Data need to be integrated with decision support and campaign management systems as well as the analytics engine to trigger context aware events in real time. Customer platforms need to enable marketing campaigns down to the micro and nano level of segmentation and customization. They must support a seamless omni-channel experience, including crowdsourcing. A key word is mass differentiation.

A Web and mobile Portal needs to effectively enable ecommerce, Mobile & Web care, Collaboration Community and order entry. Cloud based sales & services need to guarantee Social listening & Ads, Lead & Opportunity, management, forecasting, etc.

Such system needs to bring together all key parts such as Customers, Prospects, Partners, Social networks, Call Centers, Shops, Connected devices, etc.

How to bring things together for an overall solution

One approach is to split the production systems (Billing & collection, accounts receivables & payables, CRM) from the distribution systems (omni-channel, customer experience management, product catalog, order entry) and integrate those through a Hub.

This Hub could serve as a layer above the network and BSS/OSS layers and then enable digital marketing, online sales, eRetail, smart care and other functions.

Other initiatives could complement:

1)      Drive agile and design thinking across the organization.

2)      Simplify, minimize and standardize. For example, examine and address the overlapping boundaries and inefficiencies among business relationship, development & transformation, IT governance and maintenance.

3)      Leverage SaaS technologies or build virtualized software-based operational stacks.

4)      Move to cloud or outsource tasks such as commissioning, trouble ticketing, fraud & churn analysis, work force management, roaming settlements and partner management.

Work the architecture at two speeds

The backend and transactional core systems of records must be designed and operated for stability, resilience, scalability, reliability and high quality data management. All telcos, different to digital native companies, will need to build on their existing legacy systems. Release cycles will be longer here.

The customer facing front part of the architecture requires fast and highly agile software development and servicing. New micro services must be deployed within hours. Developers should be able to use a wide range of programming languages without being locked in by a stringent development frame work. Business users should be able to make immediate changes to automated processes. Time consuming integration work must be minimized. Decouple products from the processes. Enable work load balancing across private, public and other clouds.

Build a new organization and governance model in parallel with the technology.

The Enterprise Architect’s opportunity to play key role

The Enterprise architect plays a key role to help the CIO drive the digital transformation. The skill set of enterprise architects of the future will include business strategy formulation & execution, business innovation, stakeholder management and agile management. The EA needs to support both hunting and harvesting.

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